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Free Life Accident and Health Insurance Basics Practice Questions

Louisiana Life, Accident & Health exam — 64 practice questions.

Subtopics: Risk transfer, Apparent authority, Express authority, Medical Information Bureau, Consideration, Representations, Insurable risk, Contract elements, Warranty, Insurable interest, Personal uses, Determining amount, Business uses, Viatical settlements, Classes of policies, Premium factors, Premium frequency, Producer responsibilities, Policy delivery, Company underwriting, Classification of risks, Legal concepts, Definitions of perils, Types of losses and benefits, Limited health policies, Replacing health insurance, Premium determination, Conditional receipt, Binding receipt, Insuring clause, Consideration clause, Free-look provision, Policy ownership, Third-party ownership, Mortality table, Level premium concept, Net amount at risk, Policy reserves, Living benefits of cash value, Attending physician statement, Inspection report, Declined risk, Flat extra premium, Replacement, Buyer's Guide, Controlling adverse selection, Premature death, Final expense insurance, Estate liquidity, Charitable uses, Survivorship policy, Juvenile insurance, Life settlement, Creditor insurable interest, Human life value

Read the Life Accident and Health Insurance Basics study guide

Sample questions & answers

1. The basic purpose of insurance is to:

Transfer the risk of loss from an individual to an insurer

Insurance transfers the financial risk of a loss from the insured to the insurer in exchange for a premium.

2. When an insurer's actions lead a client to reasonably believe an agent has authority the agent does not actually have, this is:

Apparent authority

Apparent authority arises when the insurer's conduct leads a third party to reasonably believe the agent is authorized.

3. The authority specifically granted to an agent in the agency contract is called:

Express authority

Express authority is the authority an insurer specifically grants to the producer in the agency agreement.

4. The Medical Information Bureau (MIB) assists health and life underwriters by:

Providing a database of coded medical information to help detect fraud and errors

The MIB maintains coded medical information that member insurers use to help detect omissions or fraud in applications.

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Practice: Life Accident and Health Insurance Basics

Take a randomized, timed-style practice test. Answer choices are shuffled and your results are scored instantly with an explanation for every question.

Practice questions are study aids generated for exam preparation and are not actual exam questions. Content is provided for educational purposes and is not legal advice. Verify current statutes, rules, and exam specifications with the Insurance Department and the exam administrator before relying on it.